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Merced council approves lease for wireless facility at Raheili Park, directs revenue to park repairs

Merced City Council · September 16, 2025
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Summary

The Merced City Council approved a five‑year ground lease with a wireless carrier to place communications equipment at Raheili Park, accepting a one‑time $30,000 capital fee and $3,000 monthly rent and directing ongoing revenues to improvements at Raheili Park amid neighborhood concern about visibility and property impacts.

The Merced City Council on Sept. 15 approved a ground‑lease agreement allowing a wireless communications facility at Raheili Park and directed the lease’s revenues to fund park repairs and upgrades.

Parks and Community Services Director Chris Jensen outlined the proposed deal, saying it would provide a one‑time $30,000 capital improvement fee and $3,000 per month in rent with 3% annual increases. Jensen said staff negotiated a revised site plan that moves the equipment roughly 150–200 feet farther from nearby residences and about 150 feet from the playground and adds ADA access and other site improvements. “The agreement creates one‑time revenue to address immediate needs at the host park, Raheili, and new ongoing revenues to address levels of maintenance not currently available in our system,” Jensen said.

Neighbors and residents urged caution. Belinda Burnett, who lives near the park, said the visual impact and long‑term site permanence worry homeowners: “I don't think this is the way because like other things, once you let one there, somebody else is gonna say, ‘You let them in.’” Julie Horrell, a nearby resident, asked council to verify ground markings in the field and have engineering confirm the final location before construction; city staff said the painted marks were a rough guide and that the final site will be field‑verified against the approved site plan by the engineering department.

Councilmembers debated alternatives and protections. Councilmember Mary Smith pressed staff to ensure the city retains the right to require removal and restoration if the lease expires or the city asks the carrier to remove the facility; staff said the lease language would be reviewed in detail by the city attorney. Councilmember Jeong voiced objections to using green space for a commercial lease and asked for clarity on other potential sites; staff and several council colleagues said other locations had been considered and that the water tower site had been rejected for safety concerns.

After public comment and discussion, the council voted to approve the lease. Councilmember Zhang cast the lone “no” vote on the lease approval; the tally on the motion was recorded as 6–1 in favor. Separately, the council unanimously approved a motion to dedicate 100% of the lease revenues to maintenance and upgrades at Raheili Park.

The lease approval authorizes the city manager’s designee to execute documents and appropriate the one‑time $30,000 capital fee for immediate improvements and the initial fiscal year revenue for park maintenance work. City staff said they will return with the executed site plan and coordinate field verification before any construction begins.